UK energy crisis: Will bills go up and should I switch supplier?

Will heating, gas and electric now cost you more each year? (Picture: Getty)

Given the UK’s current energy crisis, it’s only natural to be concerned about your bills going up.

Keeping your home warm and well-lit shouldn’t be a source of stress – after all, it’s a basic necessity.

But if you’re in a situation where every pound or penny counts – or are already shelling out a premium for your energy bills – any sort of price rise is bound to cause concern.

Here, Metro.co.uk explains how much energy bills are expected to go up by, and what this means for you.

We’ll also explain whether now is the right time to try and switch supplies, with guidance from the experts.

Will bills go up because of the UK energy crisis?

Yep, bills are likely to increase.

How much is the price cap rising by? (Picture: Getty)

Amid fuel issues and a national insurance price hike, the last thing anyone wants is an increased energy bill.

But the global price of gas has skyrocketed, and small supplier firms are going bust as a result, so millions of consumers will bear some of that brunt.

Thankfully, though, not all of it – as Ofgem, the UK’s energy regulator, has a yearly price cap in place.

Still, that price cap is rising, and if you’re affected depends on what kind of energy tariff you’re on.

If your house is on a fixed tariff, then your energy bills should stay the same for now.

When your tariff ends, though, it’s likely you’ll see an increase in costs. And you’ll have more of a job on your hands searching for the best deal available.

On its website, British Gas says a new fixed tariff could be as much as 45% more expensive than last year.

If you’re on a standard tariff – so, you’re not in a contract for a set period of time – your energy bills could rise as much as £139 per year, as the price cap jumps from £1,138 to £1,277.

And if you use a pre-paid meter, you could pay as much as £153 per year more for bills – as the cap goes from £1,156 to £1,309.

With the Universal Credit cut looming, recipients could find themselves even worse off.

Should I switch my energy supplier now?

This depends on many factors.

Firstly, it depends on whether your supplier has gone bust or not.

If you were with a smaller energy company and they’ve now ceased to operate, you should sit tight if you haven’t been contacted by your new energy supplier.

Have you been switched to one of the UK’s big six, such as E.ON? (Picture: Getty)

Follow this guidance and wait until you’ve been switched over to avoid any unnecessary problems.

If you have already been switched over to your new supplier, and you’re not happy with the price, you can consider a switch if you want to.

Tashema Jackson, energyhelpline.com’s consumer champion, explains: ‘Once your new supplier has been in contact and you know how much you will be paying it is worth having a quick shop around.

‘Although unfortunately, there aren’t too many cheap deals about at the moment. If you decide to leave your new supplier, you won’t be charged any exit fees for doing so.’

However, if you’re with a smaller company that has yet to disappear, and you want to pre-empt a move to one of the big six – British Gas, EDF Energy, E.ON, Npower, Scottish Power, and SSE.

Or, you want to get on a fixed tariff ASAP because the increase in costs is simply too much.

Can you get a good deal on energy bills right now? (Picture: Getty)

Frustratingly, there’s more to factor in than you’d think.

Compare The Market, on September 10, wrote in a helpful blog post that, typically, one of the best times to move is when you hear rumblings of a price rise afoot.

If you’re on a fixed tariff, they also advise switching right before your current deal ends, around 21 – 49 days before.

Unluckily though, right now there won’t be that many amazing deals to nab.

Comparison sites are looking pretty thin at the moment – due to all the uncertainty in the air and the increase in wholesale energy costs.

There is a chance that a deal can still be done, says Which?. It recommends going directly to the supplier you’re interested in, or using their Switch calculator.

Whatever your situation, if you can’t afford higher energy costs and are panicking, you can always give Citizen’s Advice a call.

Right now, due to the pandemic, you shouldn’t be cut off from essential gas and heating if you miss one payment.

And your supplier should work with you on a payment plan you can afford.

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